Category Archives: Raising money

Huge opportunities do NOT command amazing pre-money valuations.

Dave’s note: Popular Bill Payne returns this week with a thoughtful take on valuations. By Bill Payne One entrepreneur has a company which appears to be scalable to a $30 million exit value in five to eight years, and a … Continue reading

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Early stage money: The problem with PPMs

By Bill Payne Bill Payne has been actively involved in angel investing since 1980, funding over 50 companies and mentoring over 100 more. He is the recipient of the coveted “Hans Severiens Award form the Angel Capital Association, its highest … Continue reading

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Both sides must be fair in a term sheet negotiation.

By Basil Peters After being an active angel investor for about fifteen years, I realized that many of the discussions I was involved in were virtually identical to ones I’d had many times before. A good example was during the … Continue reading

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Can you finance your company with grants?

First, here’s a link to my recent TEDx talk, “Smiling at success; laughing at failure.”  I am chairman of a company that, as I write this, is twelve years old and has not yet taken a dollar of outside investment. … Continue reading

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And don’t forget creative fund raising.

Let me tell you the story of how I raised $100,000 to fill a gap needed to purchase a new home for my young family years ago. I had located a beautiful home that would be a stretch to finance, … Continue reading

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Accelerators: a recent and positive trend

Often I see executive summaries from entrepreneurs who have never managed any form of business, or even managed employees in their past life, and who don’t know the first thing about business formation and managing for growth.  I used to … Continue reading

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Crowdfunding: a roar from a young lion

With help from JJ Richa Can you imagine having 300 shareholders?  With recent legislation and new portals on the Web, it’s entirely possible, perhaps for the first time for small businesses. Simply stated crowd funding or crowdfunding is the raising … Continue reading

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Is asset-based lending for you?

With help from JJ Richa The next logical step in our analysis of financing tools is to analyze asset-based lending, in which you pledge or assign your short term assets, such as accounts receivable or inventory, to the lender.  Often, … Continue reading

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Equity financing: great for rapid growth startups

We’ve spoken of financing a young company through friends and family, known as “inside angels.”  There are three classes of equity investors for early stage businesses that we have not yet considered.  Often grouped into formal organizations, these investors are … Continue reading

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Can you borrow your way to success?

With help from JJ Richa There are so many ways to finance a small business.  Most of them rely upon some form of debt, often personally guaranteed by the founder(s).  So we investigate the most simple of these methods of … Continue reading

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